The morning news. [volume] (Savannah, Ga.) 1887-1900, 1887-07-23
TERRITORIAL LANDS.
AN OPINION THAT THEY CAN BE
OWNED BY AMERICA MS ONLY.

The Act Recently Passed by Congress
Held to Apply to Mines-Aliens Can
Hold Stock in an American Corpora
tion. but Cannot Acquire Real Es-
tate.
WASHINGTON, July 22.-Following is the
tavt of the Attorney Generals opinion with
.ooard to the act to restrict the ownership
If real estate in the Territories to American
citizens:
DEPARTMENT OF JUSTICE, |
WASHINGTON, d. c., May 90 1887. {
To the President!
SIR-A reply to your inquiries must be derived
fror, IN Interpretation of the act of March B,
reai estate in the Territories to American citi-
EeIS, etc.
First Was the act intended to apply, and
does it apply to mines!
second Can aliens lawfully acquire, own
and hold shares or stock issued by an American
corporation, which is the owner OF mineral
iands in the Territories.
Third Would the advancement of money by
aliens for the purpose of developing mining
nronerties be lawful under the act?
Fourth, Can aliens lawfully contract with
American owners for working mines or making
sny proper use of mineral lands for term of
years
The first section of the act forbids aliens who
have not declared their intention to become citi-
Zens of the United States and alien corporations
to hereafter acquire, hold or own real estate
so hereafter acquired, or any interest therein in
the Territories of the United States or in the
District of Columbia, except in cases enumer-
ated in the exception and proviso to this section
The second section forbids the operating hold
ing, or owning of such real estate hereafter, ac-
uuired by any corporation or association in
which more than twenty per cent. of the stock
is or may be owned by persons, corporations or
associations not citizens Of the United States.
The third section fOrbids corporations, other
thau railway, canal or turnpike companies, to
hereafter acquire, hold or own more than 1000
acres of land hereafter acquired, and limits
railway canal and turnpike companies in their
,c0uisition to such land as may be necessary to
the proper operation of their roads, canals and
mrnplkeS.
The fourth section provides for the forfeiture
OF property for violations OF the provisions OF
the act.
WHAT is RULED OUT.
The property forbidden to be acquired held,
or owned in the first section Is: Real estate or
auv interest therein" The term real estate is
very comprehensive. 1t includes lands and
every estate that may be inherited which Is
annexed to- arises out of, or is exercisable
therein. This term embraces agricultural,
mineral desert and timber lands, and town
sites alike. The phrase amy interest
therein is somewhat ambiguous. 1t might
y
an interest in land, and land is real estate.
Therefore a lease for years is an interest in real
estate. 1t admits of another construction, VIZ:
That the words "any interest therein" must
refer to an interest in real estate that
a lease for years or any estate less
than freehold in land is not real estate, but
chattel real and is SO known in the law; that
the word therein" refers to what in law is
known as real estate, and as lease for years is
not so known does not include lease.
WHAT 1T SIGNIFIES
In this view of the act the term would signify
any prOpOrtiOnate part, or interest in whati is
known in law real property, which as such
would pass at the death of the ancestor to the
heir, and not to the administrator or executor.
Ii was not the purpose of the law to change the
whole policy of the government to such an ex-
tent as to exclude emigration, and forbid to an
alien even lawful temporary residence in the
Territories Of the government and District of
Columbia, yet the first construction suggested
would effect that result. Under it an owner of
property in the District of Columbia could not
lawfully lease, even for q month. q dwelling to
one not citizen, The alien emigrant to the
Territories, who had hoped and intended, as a
citizen in the future, TO make his
home there in the future, could not
lawfully obtain building in which TO
shelter his family. Such considerations as
;heSe enforce the view that the latter Construc-
struction is in accordance with the intent of the
legislation, and that bona tide leases are not in
Tended TO come within the inhibition OF the act.
THE EXCEPTION.
The exception to the first section relieves from
us provisions such real estate, or interest
therein, as may be acquired in the ordinary
Course of justice, in the collection of debts con
uacted before the passage of the act, but those
provisions attach with full force to debts con-
uacted Since'its passage.
1he expression in the second section, mo cor
porduon shall hereafter acquire or hold or own
any real estate hereafter acquired" relates to
all future operations of any corporation in real
estate in tha tpr orh hietrip of Columbia
II does not divest any rights now exist
hE' nor preclude any American
corporations from holding real estate now owned
10y them, even although more than 20 per cent.
OI their stock may be owned by other than citi-
EehS, hut IN case more than 20 per cent. of this
STOCK now is or at any future time should be
neld and owned by others not citizens or Ameri-
cdh corporations while such per cent. of
turther acquisition can be made Of real estate
~ any such corporation. The act does not deny
we rlght Of American owners to borrow money
LOH aliens nor to secure such loans on real eS-
ATE, but in the event of a sale on future loan
~ ~ alien creditor could not at such sale become
he purchaser
THE RULINGS.
therefore reply to the inquiries submitted as
First. As mines are real estate, or nheritable
them.
second. As stock Incorporation Is personally,
&C. @ @aN'i can lawfully nave, own ana nold snhTes
VI STOCK issued by an American corporation
Thlch rs now owner of mineral lands in the
territories but if the holding by an alien ex-
'oeds ~ per cent, such corporation can neither
uCqulre, hold, own nor hereafter acquire real
;SIate while more than 20 per cent. of its stock
SHIELD and owned by aliens
lhird. Under the act advancement Of money
hereafter by aliens for the purpose Of develop
Jug mining property Is lawful, but no interest in
,edl estate can he acquired by such advance
nieht, nor would an alien have the right TO pur-
muse real estate nor any interest therein on
Wsahs made since the passage of the act, even
sold on his own security or lien.
rourth. An alien may lawfully contract with
ainerlcau owners 10 work mines by personal
vvontractS for hire or by bona fide leases for a
reasonable time